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A four-role model of the automotive industry development in developing countries: a case in Taiwan

Author

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  • T-S Jan

    (National Chiao-Tung University,)

  • C-T Hsiao

    (National Chiao-Tung University,)

Abstract

Developing countries often nurture the automotive industry as a path to technological and economic development. Initially, the government often sets up policies to protect the industry, but eventually the industry must face global competition. The process of industrial development for developing countries is complex and dynamic because many roles are involved in the development process. This study analyses the characteristics of the automobile industry in developing countries and the structure of the automotive industry system in Taiwan to explore the system behaviour using system dynamics methodology. The study proposes a four-role model to identify the structure where consumers play an important and subtle role in the development process. The implications for international leading automotive firms, the survival strategies of domestic companies, and the policies for developing country governments are also discussed.

Suggested Citation

  • T-S Jan & C-T Hsiao, 2004. "A four-role model of the automotive industry development in developing countries: a case in Taiwan," Journal of the Operational Research Society, Palgrave Macmillan;The OR Society, vol. 55(11), pages 1145-1155, November.
  • Handle: RePEc:pal:jorsoc:v:55:y:2004:i:11:d:10.1057_palgrave.jors.2601776
    DOI: 10.1057/palgrave.jors.2601776
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    References listed on IDEAS

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    Cited by:

    1. White, Leroy & Smith, Honora & Currie, Christine, 2011. "OR in developing countries: A review," European Journal of Operational Research, Elsevier, vol. 208(1), pages 1-11, January.
    2. Trappey, Amy J.C. & Trappey, Charles & Hsiao, C.T. & Ou, Jerry J.R. & Li, S.J. & Chen, Kevin W.P., 2012. "An evaluation model for low carbon island policy: The case of Taiwan's green transportation policy," Energy Policy, Elsevier, vol. 45(C), pages 510-515.
    3. M H Kunc & J D W Morecroft, 2007. "Competitive dynamics and gaming simulation: lessons from a fishing industry simulator," Journal of the Operational Research Society, Palgrave Macmillan;The OR Society, vol. 58(9), pages 1146-1155, September.
    4. Day-Yang Liu & Chia-Yang Chang & Chung-Yi Fang & Pei-Leen Liu, 2020. "Research on the Issuance and Distribution Model of Sports Lottery in Taiwan from a Systems Thinking Perspective," Journal of Applied Finance & Banking, SCIENPRESS Ltd, vol. 10(5), pages 1-4.
    5. J H Chen & T S Jan, 2005. "A system dynamics model of the semiconductor industry development in Taiwan," Journal of the Operational Research Society, Palgrave Macmillan;The OR Society, vol. 56(10), pages 1141-1150, October.
    6. Chih-Tung Hsiao & Hui-Ling Peng & Hui-Hua Huang, 2012. "The impact of sports ethics of professional baseball player to the development of sports industry in Taiwan," Quality & Quantity: International Journal of Methodology, Springer, vol. 46(6), pages 1753-1767, October.
    7. Yuehong Lu & Zafar A. Khan & Manuel S. Alvarez-Alvarado & Yang Zhang & Zhijia Huang & Muhammad Imran, 2020. "A Critical Review of Sustainable Energy Policies for the Promotion of Renewable Energy Sources," Sustainability, MDPI, vol. 12(12), pages 1-31, June.
    8. Chih-Tung Hsiao & Hui-Hua Huang, 2012. "A causal model for the development of long-term facilities: a case in Taiwan," Quality & Quantity: International Journal of Methodology, Springer, vol. 46(2), pages 471-481, February.
    9. Donny Oktavian Syah, 2019. "Identifying vertical partnership among automotive component companies: empirical evidence from automotive industry in Jabodetabek, Indonesia," Journal of Economic Structures, Springer;Pan-Pacific Association of Input-Output Studies (PAPAIOS), vol. 8(1), pages 1-25, December.
    10. Liu, Chung-Shu & Hsiao, Chih-Tung & Chang, Dong-Shang & Hsiao, Cheng-Hsing, 2016. "How the European Union’s and the United States’ anti-dumping duties affect Taiwan's PV industry: A policy simulation," Renewable and Sustainable Energy Reviews, Elsevier, vol. 53(C), pages 296-305.
    11. Jahangirian, Mohsen & Eldabi, Tillal & Naseer, Aisha & Stergioulas, Lampros K. & Young, Terry, 2010. "Simulation in manufacturing and business: A review," European Journal of Operational Research, Elsevier, vol. 203(1), pages 1-13, May.

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